Question: dont use excel Ter Test March 2011 1/20 marka) AC Inc. paid an annual dividend of $1.42 a share last month. The company is planning

dont use excel

Ter Test March 2011 1/20 marka) AC Inc. paid an annual dividend of $1.42 a share last month. The company is planning on paying $1.50, S1.75, and $1.80 a share over the next 3 years, respectively. After that, the dividend will be estant at $2 per share per year. The required rate of return is 105 percent. What is the price of this stock at the end of year 3 P.)? (6 marks) b. What is the market price of this stock? (8 marks) c. Please explain the relationship between stock price and the required rate of return? (6 marks)

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